80-1

STATE BANKING DEPARTMENT
OF CALIFORNIA
Los Angeles Office
July 1, 1980
Re: Lock Box Arrangement —
Dear ________:
This is in reference to your letter of April 10, 1980 in reference to the above bank’s proposed lock box arrangement with ________.
I have checked with Senior Deputy Superintendent Doyle and we have no objections to interpose to the proposed arrangement.
As I understand it, the agency proposes to enter into an agreement and arrangement with whereby the proceeds of accounts receivables to which the bank is entitled as security given for a loan would be collected by ________ through the use of their lock box facilities, processed by ________, and the funds remitted to the agency.
I trust this responds to your inquiry. Our views regarding the other transactions discussed in your letter will be forthcoming under a separate letter. In reference to your request for a copy of previous rulings on lock box arrangements, I believed such rulings had been made, but apparently I was mistaken as I have not been able to locate any such written rulings.
Should you have any further questions, please contact us.
Very truly yours,
RICHARD M. DOMINGUEZ
Superintendent of Banks
By
DIANA H. NISHIURA
Counsel
DHN:na
cc: State Banking Department, S.F.